- Higher thermal coal exports shows Asian demand surge
- Coal prices fall while port exports surge
Indonesia’s thermal coal exports rose sharply by 11.3% month-on-month (m-o-m) in May 2025, reaching 32.14 million tonnes (mnt), up from 28.88 mnt in April. However, the export volume remained 5% lower year-on-year (y-o-y) compared to May 2024.
The monthly increase reflects renewed buying interest from key Asian markets, despite broader signs of demand moderation and shifting energy policies across the region.
Mixed demand shapes export trends
Export performance across major Asian buyers presented a mixed picture. India, the largest importer of Indonesian thermal coal, recorded a slight m-o-m decline of 0.3% to 9.98 mnt. This marginal drop was largely driven by increased availability of domestic coal through government-led auctions.
Conversely, China’s imports rose modestly by 2.1% to 5.05 mnt, reflecting steady interest in Indonesian supplies.
South Korea marked a strong return to the market, with imports jumping by 27.6% to 1.34 mnt, while Japan followed suit with a 28.3% increase to 1.30 mnt.
The Philippines also contributed to the growth, with imports rising 9.5% to 3.35 mnt. On the other hand, Malaysia’s imports fell slightly by 2% to 2.36 mnt, reflecting fluctuating demand.
Kalimantan, Sumatra lead export growth
Key coal-producing regions in Indonesia reported notable growth in export volumes. East Kalimantan remained the top contributor, with shipments increasing 10% m-o-m to 15.53 mnt. South Kalimantan followed, recording a 12.7% rise to 10.76 mnt.
Sumatra also posted a solid 11% increase, bringing exports to 4.34 mnt. North Kalimantan, although smaller in volume, saw the highest percentage growth, with a 15% jump to 1.52 mnt.
Port activity surges, except at Bunati
Export activity at major Indonesian coal ports reflected overall strength during the month. Taboneo recorded the highest gain, with exports rising by 32.2% m-o-m to 6.87 mnt.
Muara Pantai also saw a significant 30.9% increase to 2.42 mnt. Balikpapan handled 2.58 mnt, up by 20.5%, while Samarinda’s shipments rose 11.6% to 4.92 mnt.
However, Bunati Port diverged from the broader trend, posting a 13.1% decline in exports to 2.5 mnt, making it the only major port to record a monthly drop.
High-CV coal prices under pressure as HBA adjusted for H2 of Apr’25
Indonesia’s benchmark thermal coal reference prices (Harga Batubara Acuan or HBA) for the second half of April revealed mixed signals across grades. High-calorific value (6,322 kcal/kg) coal recorded a 2.5% decline to $120.2/t, reflecting weaker demand for premium-grades.
In contrast, mid-calorific value (5,300 kcal/kg) coal prices remained nearly constant at $78.46/t, while low-CV (4,100 kcal/kg) prices slipped 1% to $50.07/t. And, very low-CV (3,400 kcal/kg) coal saw a steep fall of 5% to $34.32/t.
Outlook
Indonesia’s coal exports may remain stable in the near term, supported by Asian demand, but long-term growth faces headwinds from shifting energy policies and price pressures.
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